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Economic Growth, Electricity Consumption and Internet Usage Nexus: Evidence from a Panel of Commonwealth of Independent States

Author

Listed:
  • Max Freidin

    (Department of Marketing, Belarusian State Agricultural Academy, Mogilev region, Gorki, Belarus)

  • Dmitry Burakov

    (Department of Financial Markets and Banks, Financial University under the Government of the Russian Federation, Moscow, Russia.)

Abstract

In this paper we investigate the long- and short-run effects of economic growth and Internet usage on electricity consumption using a panel data for countries members of Commonwealth of Independent States for the period 1991-2017. The study is based on panel unit root test, panel cointegration test, the pooled mean group regression technique and Dumitrescu Hurlin panel Granger causality test. The results show that Internet usage affects electricity consumption in the long-run. A 1% increase in the number of the Internet users per 100 people increases electricity consumption per capita by 0.021% in the sampled countries Economic growth affects electricity consumption both in the short- and long-run. A 1% increase in economic growth rate cause a 1.45% increase in electricity consumption per capita in CIS states. Results of panel causality test show that Internet usage and economic growth cause electricity consumption.

Suggested Citation

  • Max Freidin & Dmitry Burakov, 2018. "Economic Growth, Electricity Consumption and Internet Usage Nexus: Evidence from a Panel of Commonwealth of Independent States," International Journal of Energy Economics and Policy, Econjournals, vol. 8(5), pages 267-272.
    • Handle: RePEc:eco:journ2:2018-05-33
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    More about this item

    Keywords

    Electricity consumption; economic growth; internet usage; panel analysis; causality;
    All these keywords.

    JEL classification:

    • L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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